Posted 12/17/2023, 1:00:00 PM
Super Micro Shares Drop Despite Strong Earnings and Growth Prospects in Booming AI Server Market
- Super Micro Computer shares are down 25% from 52-week highs despite strong earnings and raised guidance
- Pullback seems unjustified as company is poised to benefit from booming AI server market
- Revenue expected to hit $20B in next few years as capacity expands to meet demand
- Trades at attractive valuation of just 2x sales compared to projected explosive growth
- With total addressable market expanding rapidly, stock could deliver 170% upside from current levels